This motion was tabled some 12 months ago. It is unfortunate that the Government did not accept the motion and deal with it when it was tabled because, if the Government had dealt with it, a good deal of unpleasantness that occurred in the meantime would have been avoided. We know that there was a milk strike brought about largely because of a stupid letter written by the Department of Agriculture to the Creamery Milk Suppliers Association, to the Leinster Milk Producers Association and to the Cork Milk Producers Association. If this House had dealt with the motion when it was tabled a lot of the unpleasantness that occurred in the early months of this year would probably have been avoided.
In asking for an increase in the price of milk, I want to make it quite clear that the agricultural community are very concerned with the cost of living and the cost of butter. We know from the reports on the nutritional survey that the agricultural community buy a very considerable amount of butter that is produced in creameries. All over the country farmers now send their milk to the creamery, and when the price of butter is increased the farmers have to pay the increased price. It has been shown in the report on the nutritional survey that the agricultural community buy more than half the butter that is produced and consumed in this country. Consequently, every increase in the price of butter increases the household budget of the farmer as well as everybody else.
The farmer does not want to increase the price of butter; he does not want to increase the cost of living; but, if the Minister and the Government increase the farmers' costs thefarmer has no redress except to ask that his increased cost of production be put on the price of his milk. The Minister for Agriculture and the Government have increased the cost of production considerably.
The circular that was issued by the Minister for Local Government last May, dealing with rates on agricultural land, imposed an additional burden of £500,000 on the farmers. The farmers who are producing milk have nowhere to get that £500,000 except by increasing the price of milk.
To produce milk you must have cows, you must have grass, you must have fertilisers to grow the grass. The Government have imposed a tariff on fertilisers, which is a tax on milk production. The Government, last June, imposed a heavy tax on barbed wire, ordinary wire, that is necessary for fencing a farmer's holding. If the farmer has to pay more for his roll of barbed wire, he has no place to get that money except in the price of his milk. The Government have imposed taxes and tariffs on milk cans and cotton-wool pads for straining milk. For everything the farmer buys he is paying an inflated price due to the action of the Government.
The farmer in the Twenty-Six Counties has to buy all his requirements in a protected local market and to sell his product at something approaching world prices.
The Minister, through his Department, has affected the yields of the cows in dairy counties by imposing on the farmers in these counties a Livestock Breeding Act which lays down that every bull kept by a farmer, if he wants to produce milk, will be a type of bull that is sanctioned by his Department for its purely beef characteristics. In imposing this bull on the dairy farmers the Minister is reducing the yield of the dairy cows in Ireland and is increasing the cost of production on the farmers.
I understand that at the moment there is an application before the Agricultural Wages Board for an increase of 12/6 a week for agricultural workers. I do not begrudge the agricultural worker a decent wage. I think the agricultural worker is our greatest national asset and I do not think heshould be paid less than a person who is engaged in the manufacture of razor blades or in any other calling. If the costs of producing milk are to be increased by Orders and rules made by bodies, the only way in which the producer can be compensated for that is by increasing the price of his product.
To produce milk a dairy farmer must have cows. At times he has to change his cows and to sell old cows when they have ceased to be capable of producing milk economically. Even at that point the Minister comes in again and puts a tax of 50/- on the hide of that old cow.
A letter was published in the Sunday Independentof November 22nd, 1953, headed, “Price of Hides”. It said:—
"Sir—Thanks to Mr. Dillon for his questions regarding hide prices. Very few receive 1/- per lb., as the average is 8d., less commission and carriage amounting to 3/- per hide. In Derry the price paid is 1/7 per lb. Thus we are compelled to sell our hides at at least a loss of 50/-each, yet our boots and shoes show no reduction in price."
All along the line this is what I am trying to argue—that the Minister and the Government are increasing the cost of production, and I suggest to the Minister that if he wants to get milk produced cheaply; butter produced cheaply, he should remove all the factors that are hampering production at the moment. I have tried to indicate the ways in which as I see it the Minister and the Government have increased the cost of production during the past 12 months. I want to reiterate the fact that as far as the farmers are concerned the increase in the price of butter is affecting them as much as it is affecting anybody else, but I want the Minister to discontinue imposing extra costs of production on the farmers and let us produce our milk and butter as cheaply as we can. We have in this country the best farmers in the world. We have the best agricultural workers in the world, and if the Minister will not increase the cost of production we can produce the commodity in competition with any country in the world.